Book Review > Understanding Investments & Personal Finance

This is the third edition of this work by these authors, who have also published a book on Understanding Unit Trusts. The previous editions received favourable reviews. While there are now many introductory level books available on various forms of investment, few would cover the range of material that this one does. In twenty chapters and 229 pages, the reader is informed about bank accounts, home loans, credit and debit cards, investment portfolio structure, sharemarket investing, derivatives, options, futures, unit trusts, bonds, interest-bearing investments, direct and indirect property investments, taxation, keeping records, insurance and estate planning.
Considering its wide scope, the level of information and advice in this book is very good. It is tempting to classify it as a work for investment newcomers, but there is also much that should benefit those with more experience, particularly if they have confined themselves in the past to one or two areas. A good feature of the book is the "key point" summaries for each chapter.
The text is easy to read, the language is simple without being patronising, and useful ground rules are presented. There may be some differences of opinion about matters such as dollar cost averaging, but the reader is also warned if further study is needed before undertaking investments such as options and futures.